Couple things. Nintendo has announced their next console is called "Revolution." ... It's got wireless... Is that the revolution? Anyhow, it appears Nintendo is more and more becoming the Apple of consoles. They'll never die, but never be big again, except in stuff like GBA.
Also, this is a good read:
http://crystaltips.typepad.com/wonderla ... ouse_.html
All the devs are pretty harsh on the studio/blockbuster style of game development. Are there midbudget titles? I'd classify SL, ATITD, and Puzzles Pirates as small budget indie games. Same goes for Stardock.
That is a pretty interesting analysis of the Cell's effect on games. If I had to wildly speculate, I'd say you'll see a PS3 capable of doing ~70 gigaflops, which means exactly bupkis in branchy, algorithmy code. Perhaps this will be a sort of revival of pc gaming, with all the innovative AI and whatnot coming out for PC only. And the PS3 players will be left with the shiniest 3d Space Invaders of all time. Or perhaps the money will follow the graphics and PC gaming will be crappier than ever.
One dev actually actively called for the death of blockbusters and an increase in open source games. I wonder what kind of business model he has in mind.